Understanding Value Drivers

Understanding Value Drivers

8 Drivers of Company Value

Value Driver 1 of 8: Financial Performance

Your history of producing revenue and profit combined with the professionalism of your record keeping.

 


Value Driver 2 of 8: Growth Potential

Your likelihood to grow your business in the future and at what rate.

 


Value Driver 3 of 8: The Switzerland Structure

How dependent your business is on any one employee, customer or
supplier.

 


Value Driver 4 of 8: The Valuation Teeter Totter

Whether your business is a cash suck or a cash spigot.

 


Value Driver 5 of 8: Recurring Revenue

The proportion and quality of automatic, annuity-based revenue you collect each month.

 


Value Driver 6 of 8: Monopoly of Control

How well differentiated your business is from competitors in your
industry.

 


Value Driver 7 of 8: Customer Satisfaction

The likelihood that your customers will re-purchase and also refer you.

 


Value Driver 8 of 8: Hub and Spoke

How your business would perform if you were unexpectedly unable to work for a period of three months.